Investors emphasize that they are interested in the long-term development of ‘Motor Sich’ on the existing production base.
News Agency ‘Ukrainian News published the text of the official statement of Skyrizon Board of Directors, which owns a significant stake in PJSC ‘Motor Sich’. As you know, a group of Chinese investors acquired the corporate rights of the enterprise back in 2016, but to this day they cannot fully dispose of their property due to the blocking actions of some government agencies. Currently, the Antimonopoly Committee is considering a joint application of Skyrizon and DCH for the concentration of shares of PJSC Motor Sich. The owner and president of DCH, Aleksandr Yaroslavskyi, made a statement regarding the situation last Friday.
‘Five years ago we came to Ukraine with hope and enthusiasm and invested in Motor Sich. We believed in bright future to come by virtue of a combination of excellent Ukrainian aircraft products and constant strong market demand from China. For these five years we have been keeping our promises, respecting our partners, complying with local laws and following the principle of mutual benefit. Without our investment, Motor Sich could not have developed new products and projects as well as saved thousands of jobs. It has always been a commercial project based on findings of our research of market demand for products and technology, with consideration of business relations and business goals. We really regret that after five years we got only confusion and disappointment,’ the statement of Chinese investors states.
The Skyrizon Board of Directors emphasizes the interest of Chinese investors in the long-term development of PJSC ‘Motor Sich’ at the existing production based in Zaporizhzhia, saying that ‘From the first day we became interested and engaged in Motor Sich, we have made it abundantly clear that we are here as a partner and we are committed to keep Motor Sich alive and striving in Ukrainian soil. That is why we injected pretty money into the company straightaway. We have a grand blue print for our long term goal, that involves injecting substantial investments into Motor Sich onsite Ukraine, Zaporizhzhya, to maintain and to multiply the production capacity of the onsite plant.’
Skyrizon management notes that it views cooperation with the DCH group as promising and supports the statement of Aleksandr Yaroslavskyi, ‘We are very excited to have DCH on board as our partner. DCH will own 25%+ shares in the Company giving them the right to participate in the management of the Company and to safeguard its Ukrainian characteristics. We absolutely support the statement of the owner and president of DCH Alexander Yaroslavskyi as far as we know him as a man, who is sincerely and unconditionally devoted to the interests of Ukraine. Our cooperation will be as the guarantor of the fulfillment of the obligations that we jointly undertake to the Ukrainian people in relation to Motor Sich. We truly believe with DCH's involvement we are able to take off the project on the right foot and we are confident we can deliver a prosperous, profitable and viable Motor Sich with all its energy and potentials.’
Chinese investors in PJSC ‘Motor Sich’ expressed their bewilderment and concern over the continuing blocking of the enterprise by several government agencies, ‘In the case of JSC "Motor Sich" all the requirements of the Ukrainian legislation were complied with. Nevertheless, we face an inexplicable resistance, which does not allow the Company to reach that height, on which we intend to expel it. We are prepared and ready to use all legal means to protect our investment.’
At the same time, the Skyrizon Board of Directors emphasizes that it hopes to resolve the situation within the framework of the Ukrainian and international legal field, as well as common sense, ‘we do not want commercial projects to be politicized, as this will seriously violate market rules and market order, which will lead to a deterioration of the investment environment and loss of investment confidence. The freedom of entrepreneurial activity may only be limited by legal norms, and by nothing else. We have confidence in the Ukrainian people, its government and its legal system. We hope that the common sense will prevail, and a decision will be made to put an end to artificial obstacles to the development of the Company.’
